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HomeMy WebLinkAbout05-16-18 City Administration Committee Meeting AgendaCommittee Charge: The CA committee will: Review financial and administrative issues pertaining to the City, along with items relating to the City of Ithaca workforce environment, intergovernmental relations and human resource s. CA Meeting City Administration Committee DATE: May 16, 2018 TIME: 6:00 p.m. LOCATION: 3rd Floor, City Hall, Council Chambers AGENDA ITEMS Item Voting Item? Presenter(s) Time Allotted Chair, Deb Mohlenhoff 1. Call To Order * Note: We will review the number of 15 Min* 1.1 Agenda Review No cards received at the beginning of each 1.2 Review and Approval of Minutes Yes meeting and adjust time if needed. Approval of April 2018 Minutes 1.3 Statements from the Public No 1.4 Statements from Employees No 1.5 Council Response No 2. Consent Items Yes 5 Min 2.1 W&S - Amendment to Personnel Roster 2.2 HR – Request to Amend Authorized Budget for a Safety Grant 2.3 Access Oversight Committee Recommendations for 2019 Budget 3. Finance, Budget and Appropriations 3.1 Eng. - Brindley Street Bridge Replacement Yes Mike Thorne and Addisu Gebre 15 Min 3.2 Eng. – Cayuga Street Bridge Deck Replacement Yes Mike Thorne and Addisu Gebre 5 Min 3.3 DPW - Amend Capital Project 777 for Green and Seneca Garages Yes Mike Thorne, Supt of DPW 5 Min 3.4 YB - New York State Consolidated Funding Application grant for the Cass Park Rink Enclosure Yes Liz Klohmann, Director 5 Min 3.5 Finance – Bond Authorizations Yes Steve Thayer, Controller 10 Min 4. City Administration, Human Resources and Policy 4.1 Mayor – Safer Consumption Spaces Yes Mayor Svante Myrick 10 Min 4.2 Establishment of a Charitable Gifts Reserve Fund Pursuant to General Municipal Law § 6-u. Yes Ari Lavine, Attorney 10 Min 4.3 Local Law - Authorization for a Charitable Gifts Reserve Fund Tax Credit Pursuant to Real Property Tax Law Yes Ari Lavine, Attorney 10 Min 5. Budget Process – June Meeting Prep No All 10 Min 6. Meeting Wrap-up All 5 Min 6.1 Announcements No 6.2 Next Meeting Date: June 20, 2018 No All 5 Min 6.3 Review Agenda Items for Next Meeting No 6.4 Adjourn Yes 7:45 p.m. Please note: Out of consideration for the health of other individuals, please try to refrain from using perfume/cologne and other scented personal care products at City of Ithaca meetings. Thank you for your cooperation and understanding. J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 2. Consent .1 W&S - Amendment to Personnel Roster WHEREAS, the City of Ithaca Department of Public Works Water & Sewer Division has need of a Senior Geographic Information Systems (GIS) Specialist, and WHEREAS, the new job description and new position duties statement have been approved by the City of Ithaca Human Resources Department and the Civil Service Commission, and WHEREAS, the total additional salary difference entailed in adding a Sr. GIS Specialist and deleting a GIS Specialist is approximately $2,116, and WHEREAS, the City of Ithaca Department of Public Works Water & Sewer Division has the funds available in the 2018 Budget in the Administrative salary lines and will incorporate the necessary funds in the 2019 and future Budgets; now, therefore, be it RESOLVED, that the Personal Roster of the City of Ithaca Department of Public Works Water & Sewer Division be amended as follows: Delete: One (1) Geographic Information Systems Specialist (40 hours) Add: One (1) Senior Geographic Information Systems Specialist (40 hours), and be it further RESOLVED, That the position of Senior Geographic Information Systems Specialist shall be assigned to the CSEA Administrative Unit Compensation Plan at salary grade 13, and be it further RESOLVED, That for the sole purpose of determining days worked reportable to the New York State and Local Employees’ Retirement System, the standard workday for the Senior Geographic Information System Specialist position shall be established at eight (8) hours per day (forty (40) hours per week). J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 2. Consent .2 Human Resources – Request to Amend Authorized Budget for a Safety Grant WHEREAS, the City applied for and received an Occupational Safety and Health Training Education Program Grant from the New York State Department of Labor in the amount of $11,810, and WHEREAS, the grant will run until July 31, 2018, and provide City staff with various safety training, including, but not limited to: confined space, trenching, excavation, lockout/tagout, hazard communications and work zone safety; now, therefore be it RESOLVED, That Common Council hereby amends the 2018 Authorized Human Resources Budget to account for the $11,810 Safety and Health Training and Education Program Grant from New York State as follows: Increase Revenue Account: A1430-3489 NYS Aid Health $ 11,810 Increase Appropriations Account: A1430-5435 Human Resources Contracts $ 11,810 J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 2. Consent .3 Access Oversight Committee Recommendations for 2019 Budget WHEREAS, Section 15.12 of the Franchise Agreement between the City of Ithaca and Time Warner Entertainment-Advance/Newhouse Partnership (TWC) of January 2003, and since assigned to Charter Communications, Inc. (d/b/a Spectrum Networks) after its 2016 acquisition of TWC, requires the participating municipalities (City of Ithaca, Town of Ithaca, Village of Cayuga Heights) to provide it with an annual budget for Public, Educational and Governmental access operations (PEG) by June 30 of each calendar year, and WHEREAS, the City of Ithaca's Ordinance #2003-17, Par 18-4-G, requires the Access Oversight Committee (AOC) to provide the Participating Municipalities with a recommended annual budget by May 31 of each calendar year, and WHEREAS, in 2017 it was resolved not to use the 2018 Budget funds but have them become part of the 2019 Budget, and WHEREAS, the AOC has reviewed PEG’s current equipment and anticipates that only a limited amount of new or replacement equipment will be needed, and WHEREAS, the AOC anticipates the replacement of computers and the current playback system in the next few years, and WHEREAS, such purchases would exceed the available funds of one budget year; now therefore be it, and WHEREAS, at their regular meeting on May 1, 2018 the AOC recommended earmarking up to $5,000.00 as contingency to purchase equipment as needed for the functioning of PEG operations, and to let the remaining 2018 and 2019 Budget funds accumulate and become part of the 2020 Budget; now therefore be it RESOLVED, That the Common Council of the City of Ithaca accepts the AOC recommended budget for 2019 such that the participating municipalities may meet their obligation to provide Spectrum TV with an annual budget for Public, Educational and Governmental access operations. J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 3. Finance, Budget and Appropriations .1A Eng. - Brindley Street Bridge Replacement Project WHEREAS, a Project for the Brindley Street Bridge Replacement over Cayuga Inlet , P.I.N. 375611 (the “Project”) is eligible for funding under Title 23 U.S. Code, as amended, that calls for the apportionment of the costs such program to be borne at the ratio of 80% Federal funds and 20% non-Federal funds, and WHEREAS, the project involves the construction of a new roadway and bridge on a relocated horizontal alignment that will connect Taber Street with the West State Street/Taughnnock Boulevard intersection, and WHEREAS, as part of the approved 2011 budget, the City of Ithaca established Capital Project #764 in the amount of $205,000 to cover scoping and development phases of the project, and WHEREAS, as part of the approved 2015 budget, Common Council authorized an additional $303,000 for the project, and WHEREAS, as part of the approved 2017 budget, Common Council authorized an additional $134,000 for the project, and WHEREAS, On June 8, 2017, Common Council approved an increase of CP#764 by an amount not to exceed $16,650 (80% Federal and 20% City Share) to cover the cost of participation in the Right-of-Way Acquisition phase of the Project, and WHEREAS, as part of the approved 2018 budget, Common Council authorized additional $2,788,000 (80% Federal and 20% City Share) to pay in the first instance 100% of the federal and non-federal share of the costs of Construction and Construction Inspection, and WHEREAS, the Department of Public Works has decided to allocate $100,000 in Consolidated Local Street and Highway Improvement Program (CHIPS) fund to be used as a local match to cover construction cost, and WHEREAS, On May 15, 2018, an additional $570,000 Project funding was made available by New York State Department of Transportation (NYSDOT) for Construction and Construction Inspection Phases, and WHEREAS, to cover a significant project budget shortfall, the Department of Public Works has decided to bid the following project components as bid alternates: repurposing the existing Brindley Street Bridge as a pedestrian/bike bridge; additional aesthetic improvements; and additional landscaping improvements, and WHEREAS, inclusion of the bid alternates to the project will only be determined based on whether sufficient funds for the work are available according to the total cost bid for the bid alternate work by the successful low bidder for the base bid, and WHEREAS, the amended project budget is projected to be $ 4,120,000 J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 WHEREAS, the current and proposed project costs are outlined as follows: Authorization Total Project Cost City of Ithaca Share Federal Highway Administration Share NYSDOT CHIPS Fund Current $3,450,000 $1,370,000 $2,080,000 $0 Proposed $4,120,000 $1,317,600 $2,702,400 $100,000 Increase/Decrease $670,000 ($52,400) $622,400 $100,000 now, therefore, be it RESOLVED, That, Common Council hereby approves an increase of Capital Project #764 by an amount not to exceed $670,000, for a total project authorization of $4,120,000, and be it further RESOLVED, That this project be undertaken with the understanding that the final cost of the Project to the City of Ithaca will be roughly 32% of said portion, currently estimated at $1,317,600 of the $4,120,000 authorized for this portion of the project, in monies and in-kind services as managed by the Superintendent of Public Works and monitored by the City Controller, and be it further RESOLVED, That in the event the full federal and non-federal share costs of the project exceed the amount appropriated above, the Common Council of the City of Ithaca shall convene as soon as possible to appropriate said excess amount immediately upon the notification by the NYSDOT thereof, and be it further RESOLVED, That the Mayor of the City of Ithaca be and is hereby authorized to execute all necessary Agreements on behalf of the City of Ithaca with the New York State Department of Transportation in connection with the advancement or approval of the Project and providing for the administration of the Project and the municipality’s first instance funding of Project costs and permanent funding of the local share of federal-aid and state-aid eligible Project costs and all Project costs within appropriations therefore that are not so eligible, and be it further RESOLVED, That a certified copy of this resolution be filed with the New York State Commissioner of Transportation by attaching it to any necessary Agreement in connection with the Project, and be it further RESOLVED, That this resolution shall take effect immediately, and be it further RESOLVED, That, the Superintendent of Public Works be and is hereby authorized to administer the above project, and be it further RESOLVED, That funds necessary for said project amendment shall be derived from the issuance of Serial Bonds with later payment from Federal Aid. J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 3. Finance, Budget and Appropriations .1B Eng. - Brindley Street Bridge Replacement Project WHEREAS, a Project for the Brindley Street Bridge Replacement over Cayuga Inlet , P.I.N. 375611 (the “Project”) is eligible for funding under Title 23 U.S. Code, as amended, that calls for the apportionment of the costs such program to be borne at the ratio of 80% Federal funds and 20% non-Federal funds, and WHEREAS, the project involves the construction of new a roadway and bridge on a relocated horizontal alignment that will connect Taber Street with the West State Street/Taughnnock Boulevard intersection, and WHEREAS, as part of the approved 2011 budget ,the City of Ithaca established Capital Project #764 in the amount of $205,000 to cover scoping and development phases of the project, and WHEREAS, as part of the approved 2015 budget, Common Council authorized an additional $303,000 for the project, and WHEREAS, as part of the approved 2017 budget, Common Council authorized an additional $134,000 for the project, and WHEREAS, on June 8, 2017, Common Council approved an increase of CP#764 by an amount not to exceed $16,650 (80% Federal and 20% City Share) to cover the cost of participation in the Right-of-Way Acquisition phase of the Project, and WHEREAS, as part of the approved 2018 budget, Common Council authorized an additional $2,788,000 (80% Federal and 20% City Share) to pay in the first instance 100% of the Federal and non-Federal share of the costs of Construction and Construction Inspection, and WHEREAS, the Department of Public Works has decided to allocate $100,000 in Consolidated Local Street and Highway Improvement Program (CHIPS) fund to cover the project construction cost as a local match, and WHEREAS, On May 15, 2018, an additional $570,000 Project funding was made available by New York State Department of Transportation (NYSDOT) for Construction and Construction Inspection Phases, and WHEREAS, the Department of Public Works is planning to repurpose the existing bridge to serve as pedestrian bridge for a total cost of $202,000, and WHEREAS, On November 28, 2017, as part of the project’s Site Plan Approval, City of Ithaca Planning and Development Board requested additional aesthetic and landscaping improvements for a total cost of $160,000, and WHEREAS, the amended project budget is projected to be $ 4,482,000, and WHEREAS, the current and proposed project costs are outlined as follows: J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 Authorization Total Project Cost City of Ithaca Share Federal Highway Administration Share NYSDOT CHIPS Fund Current $3,450,000 $1,370,000 $2,080,000 $0 Proposed $4,482,000 $1,679,600 $2,702,400 $100,000 Increase $1,032,000 $309,600 $622,400 $100,000 now, therefore, be it RESOLVED, That, Common Council here by approves an increase of Capital Project #764 by an amount not to exceed $1,032,000, for a total project authorization of $ 4,482,000; and be it further RESOLVED, That this project be undertaken with the understanding that the final cost of the Project to the City of Ithaca will be roughly 37.5% of said portion, currently estimated at $1,679,600 of the $4,482,000 authorized for this portion of the project, in monies and in-kind services as managed by the Superintendent of Public Works and monitored by the City Controller, and be it further RESOLVED, That in the event the full federal and non-federal share costs of the project exceeds the amount appropriated above, the Common Council of the City of Ithaca shall convene as soon as possible to appropriate said excess amount immediately upon the notification by the NYSDOT thereof, and be it further RESOLVED, That the Mayor of the City of Ithaca be and is hereby authorized to execute all necessary Agreements on behalf of the City of Ithaca with the New York State Department of Transportation in connection with the advancement or approval of the Project and providing for the administration of the Project and the municipality’s first instance funding of Project costs and permanent funding of the local share of federal-aid and state-aid eligible Project costs and all Project costs within appropriations therefore that are not so eligible, and be it further RESOLVED, That a certified copy of this resolution be filed with the New York State Commissioner of Transportation by attaching it to any necessary Agreement in connection with the Project, and be it further RESOLVED, This Resolution shall take effect immediately, and be it further RESOLVED, That the Superintendent of Public Works be and is hereby authorized to administer the above project, and be it further RESOLVED, That funds necessary for said project amendment shall be derived from the issuance of Serial Bonds with later payment from Federal Aid. CITY OF ITHACA 108 East Green Street, Ithaca, New York 14850-6590 DEPARTMENT OF PUBLIC WORKS Michael J. Thorne, P.E. Superintendent Telephone: 607/274-6527 Fax: 607/274-6587 “An Equal Opportunity Employer with a commitment to workforce diversification.” MEMORANDUM TO: City Administration Committee FROM: Addisu Gebre, Bridge Systems Engineer Tim Logue, Director of Engineering Services DATE: May 2, 2018 RE: Brindley Street Bridge Replacement Project, CP#764 Please find attached a resolution seeking Common Council authorization to pay in the first instance 100% of the Federal and non-Federal share of the Construction and Construction Inspection Share of the project. Common Council already authorized $3,450,000 for the project as part of 2011, 2015, 2017, and 2018 capital budgets to fully cover design phase, Right-of-Way, construction phase and project administration cost of the project. However, as our design has been finalized, we have seen our engineer’s estimate grow, unfortunately. The factors contributing to the increased expected cost included: Poor soil conditions that have led to more expensive micro-piles; Additional girder required to reduce beam depth due to limited freeboard; Temporary sheeting to protect Auto Repair building due to modification to wingwall; Additional drainage systems to accelerate embankment settlement and reduce overall construction time; Additional aesthetic treatments (top rail for bridge railing, supplemental cross bracing for railing on old bridge, and railing painting) to the new bridge required by the Planning & Development Board; A significant landscaping plan throughout the project area as required by the Planning Board; and Additional costs for refurbishing the existing Brindley Street Bridge, particularly due to construction schedules mandating that the closure to vehicular traffic be included as a part of this project instead of the West MLK Jr. Street Corridor Enhancements project, which will go to construction in 2018. The old Brindley Street Bridge can’t be closed until the new one is open in 2019. These additional costs increased our last engineer’s construction estimate, which was from December 2017, by about a million dollars. Of course there are other project expenses related to Page 2 of 3 additional design efforts, construction inspection, and project administration. In an effort to reduce the financial exposure to the City, staff proposes a three pronged approach. First, we have worked with the NYSDOT and the Ithaca Tompkins County Transportation Council (ITCTC) to shift monies from a lower priority project, the Elmira Road Paving and Signals project, to the Brindley Street Bridge. In addition to this shift, we are able to budget $100,000 of CHIPs funding toward this project without negatively affecting the 2018 paving program. The Elmira Road project will remain on the ITCTC Transportation Improvement Program (TIP) and be eligible for federal funding, but construction will be pushed from 2019 to 2021. We are currently in preliminary design for this project, but we will have to wait for a TIP update to fund the construction phase again. This shift in monies will cover approximately two- thirds of the additionally needed funds. As with all of our federal-aid transportation projects, the City needs to borrow this funding in the first instance and seek reimbursement for at least 80% of the project costs. Second, to cover the rehabilitation of the existing Brindley Street Bridge and conversion into a pedestrian/bicycle only bridge, we are asking for an additional $202,000, which would be 100% City funds and not reimbursed. If Common Council is willing to fund this amount, the rehabilitation will be included in the project. If Common Council does not want to allocate these funds, the bridge will be closed entirely until we are able to do the rehabilitation at a later date. This could be funded through a grant application or it might even be work that we can accomplish in house, at a significantly lower cost, but would need to be applied for or coordinated with current DPW workloads, meaning it might be a few years. Third, to cover the budget shortfall due the requirements of the Planning Board’s site plan review, we are requesting an additional $160,000, which would be 100% City funds and not reimbursed. If Common Council is willing to fund this amount, the project will include the additional aesthetic enhancements (a stainless steel handrail similar to the one on the Lake Street bridge over Fall Creek, a modified bridge railing approach detail, and an extensive landscaping plan for the project and the area between the two bridges on the south side of the creek. If Common Council does not want to allocate these funds, they would be dropped out of the project. The handrail is something that could be added at a future date. The bridge railing approach could not easily be added at a later date. The landscaping could be done later and would be a good candidate for a grant application, especially in conjunction with the old bridge refurbishment, if neither is funded by Council at this time. Two resolutions are attached for your consideration. Resolution #1 does not fund the additional expenses noted above as the second and third points. However, because some of this money was already included in the 2018 capital budget almost all ($662,400 of the $670,000 increase) of it will be federal aid reimbursable. If this resolution is the choice of Common Council, staff will Page 3 of 3 structure the bidding to include the second and third points as add alternates and these components will only move forward if we get a lower than expected base bid. Our priorities would be to fund the existing bridge rehabilitation first, and the aesthetic enhancements required by the Planning Board second. Please note that the amount to be authorized by Common Council in this resolution ($670,000) is a little less than the TIP adjustment. This is due to the fact that a portion of the funds authorized by Council as part of the 2018 capital budget covers a portion of the transferred federal aid. Resolution #2 approves funding for all three points. Point one is funded, but points two and three would likely not be reimbursable (technically they are eligible, but unless we receive a very low bid, we will exhaust our federal aid before accounting for these expenses), and so would be funded 100% by City funds. The following drawings are also included for your information: Preliminary Structure Plans (4 sheets) Context Plan (1 sheet) Plan, Sections and Bridge Elevation Displays (3 sheets) Details of railings for new structure (2 sheets) Details for railings for retrofitted pedestrian/bicycle structure (1 sheet) Landscape rendering (1 sheet) Planting Plan (1 sheet) Plant List (1 sheet) and Landscape Details (3 sheets) If you have any questions, please call me @ 607-274-6530 or email me agebre@cityofithaca.org J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 3. Finance, Budget and Appropriations .2 Eng. - South Cayuga Street Bridge Deck Replacement Project WHEREAS, a project for the rehabilitation of the South Cayuga Street Bridge over Six Mile Creek, P.I.N. 375616 (“the Project”) is eligible for funding under Title 23 U.S. Code as administered by the Federal Highway Administration (FHWA), as amended, that calls for the apportionment of the costs such program to be borne at the ratio of 80% Federal funds and 20% non-Federal funds, and WHEREAS, the City of Ithaca desires to advance the Project by making a commitment of 100% of the non-Federal share of the costs of Scoping, Preliminary Design and Detailed Design, and WHEREAS, this project constitutes a reconstruction of facility in-kind on the same site as well as maintenance or repair involving no substantial change in an existing facility, and is therefore a Type II action under the National Environmental Policy Act (NEPA) Regulation and in accordance with 6 NYCRR Part 617 requiring no environmental review, and WHEREAS, As part of the approved 2018 budget, Common Council already authorized $155,000 (80% Federal Share and 20% Local Share) to cover the cost of participation in Scoping and Preliminary Design Phases and an additional $25,000 (100% Local Share) to cover project administration cost, and WHEREAS, in October 2018 an additional $210,000 (80% Federal and 20% Local Share) in funding for the project will be made available by the New York State Department of Transportation to cover the cost of participation in Detailed Design; now, therefore be it RESOLVED, That the City of Ithaca Common Council hereby approves the above subject project, and be it further RESOLVED, That the Common Council hereby authorizes the City of Ithaca to pay in the first instance 100% of the Federal and non-Federal share of the cost of Scoping, Preliminary Design and Detailed Design thereof, and be it further RESOLVED, That the City of Ithaca Common Council hereby amends CP#848 to add $210,000 for a total of $390,000, and be it further RESOLVED, That funds needed for said project shall be derived from the issuance of Serial Bonds with the City’s estimated share of the project cost not to exceed 25.1% or $98,000, and be it further RESOLVED, That in the event the full Federal and non-Federal share costs of the project exceeds the amount appropriated above, Common Council of the City of Ithaca shall convene as soon as possible to appropriate said excess amount immediately upon the notification by New York State Department of Transportation thereof, and be it further RESOLVED, That the Mayor of the City of Ithaca of the County of Tompkins be and is hereby authorized to sign all necessary Agreements with New York State Department of Transportation to secure Federal Aid and Marchiselli Aid on behalf of the City of Ithaca and the Superintendent J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 of Public Works is authorized to sign all necessary construction documents, contracts, certifications and reimbursement requests, and be it further RESOLVED, That the Superintendent of Public Works be and is hereby authorized to administer the above project, and be it further RESOLVED, That a certified copy of this resolution be filed with the New York State Commissioner of Transportation by attaching it to any necessary Agreement in connection with the Project, and be it further RESOLVED, That this Resolution shall take effect immediately. J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 3. Finance, Budget and Appropriations .3 DPW - Resolution to Amend Capital Project 777 for Green and Seneca Garages WHEREAS, Capital Project 777 was established in 2012 and has been amended each year for the purchase of parking related equipment, and WHEREAS, the automated parking equipment at Green and Seneca Garages is past its useful life, requiring frequent, expensive repairs using parts that are no longer commercially available, and is unreliable to the point that exit gates need to be raised after 11:00 p.m. to prevent vehicles from being stuck in the garages after hours, representing a significant loss in revenue, and WHEREAS, the lost revenue from raising the exit gates at Green and Seneca Garages is estimated at $7,500 per month, and repair costs associated with the outdated parking equipment were approximately $58,000 for 2017, for a total of nearly $150,000, and WHEREAS the replacement cost for newer, reliable equipment for Green and Seneca Garages is estimated at $485,000, representing a payback period of approximately 3.5 years; now therefore be it RESOLVED, That Common Council hereby amends Capital Project 777 by an amount not to exceed $485,000 for a total authorized project amount of $1,746,000 for the replacement of automated parking equipment at the Green and Seneca Garages, and be it further RESOLVED, That funds necessary for said amendment shall be derived from the issuance of Serial Bonds. CITY OF ITHACA 108 East Green Street, Ithaca, New York 14850-6590 DEPARTMENT OF PUBLIC WORKS Michael J. Thorne, P.E., Superintendent Telephone: 607/274-6531 Fax: 607/274-6587 “An Equal Opportunity Employer with a commitment to workforce diversification.” TO: Svante Myrick, Mayor Common Council FROM: Michael J. Thorne, P.E. Superintendent of Public Works DATE: May 16, 2018 RE: Parking Equipment for Green and Seneca Garages ______________________________________________________________________________ In March of this year, I requested funding for new parking equipment for the Dryden Road garage due to operational problems, revenue losses, and expensive repairs. The request was approved, and the equipment is scheduled for installation in July. I also indicated that I would like to replace the Green and Seneca garage equipment in 2019 for the same reasons. My intention at the time was to not overload the 2018 Capital Project budget by spreading the requests over two years. However, the City would be better served if we replaced equipment in the remaining garages sooner rather than later. Parking equipment in the Green and Seneca garages have the same issues as Dryden Road. The equipment breaks down so frequently that we leave the parking gates up after 11 pm to prevent parkers from being stuck in the garage after hours. Repair parts for the old equipment are expensive and difficult to find. In 2017, equipment repair costs for Green garage were approximately $25,000 and the revenue loss from raising the gates averaged $3700 per month. The repair costs and monthly revenue losses for the Seneca garage were $33,000 and $3800 for the same time period. The 2017 cost to the City due to old parking equipment at Green and Seneca garages was nearly $150,000. The budgeted cost for new equipment at Seneca garage is $210,000 and the cost at Green garage is $275,000 for a total of $485,000. The payback period for the new equipment will be approximately 3.5 years. There are two other reasons that we should purchase the new equipment sooner rather than later. First, the new Dryden garage equipment will have a modern parking accounting system, while the other two garages will still operate under the tedious outdated system. This will create additional work for the Chamberlains office, and operational issues for parking staff. Second, the new parking accounting system will provide the City with detailed revenue and occupancy reports that will be used to base future decisions on parking rates, policies, and programs. As parking demand increases in the City due to new development, this accurate information will be critical to optimize our parking operations. J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 3. Finance, Budget and Appropriations .4 Youth Bureau - New York State Consolidated Funding Application grant for the Cass Park Rink Enclosure WHEREAS, the Ithaca Youth Bureau would like to apply for a grant from the New York State Consolidated Funding Application (CFA) on behalf of the City of Ithaca and WHEREAS. The Cass Park Rink serves as the hub of all Cass Park facilities and programs, serves thousands of Ithaca are residents on a year round basis and is widely recognized as a valuable public asset, and WHEREAS, the City has completed a series of Rink improvements as recommended in structural and operational reports to complete Phase 1 and Phase 2; Year 1 of the planned 3 Phase renovation project, and WHEREAS, The Friends of the Ithaca Youth Bureau (FOIYB) has been actively fundraising in the community, and WHEREAS, the grant funds would enable the City to move forward with the help of FOIYB to complete Phase 2; Year 2 of the project, which will enclose Cass Park Rink as recommended for optimal operations; now therefore, be it RESOLVED, That the Director of the City of Ithaca Youth Bureau, is hereby authorized to file an application for funds from the New York State Consolidated Funding Application and upon approval of said request to enter into and execute a project agreement with the State for such financial assistance to the City of Ithaca for the Cass Park Rink Project. J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 3. Finance, Budget and Appropriations .5 Bond Resolution Request The City normally borrows funds twice a year, namely in February and July. This request is to approve the authorization of Capital Projects approved by Common Council since our last authorization in December 2017. The projects needed for authorization include projects approved since January 2018 and any previously authorized projects not yet included in a bond resolution. All projects are issued on a cash flow need basis, meaning, that the funds will be issued over the next six months as cash is needed for the projects. Attached you will find the projects needed for authorization in the amount of $2,252,000. My concerns related to the City’s heavy debt load continue. While we are not in the red flag danger area, we need to find ways to reduce the high amount of debt we currently have. We are in the 70% to 75% of expended debt limit area. At 90% of debt limit exhausted, the red flags are raised. Going forward, the high annual debt service costs will restrict the use of City funds on other areas. By law, we are required to pay our debt first. After a small reduction in our debt load last year, with the activity this year, we have now increased our debt outstanding. Our current debt outstanding, including this issue, is $132,420,051. While $61,116,764 of our outstanding debt is related to water, sewer or wastewater and is exempt from debt limit, we still have a significant amount of general outstanding debt, $71,303,287. It’s important to note that some of our debt is borrowed upfront and will be later repaid from state and federal sources. The amount of reimbursement for federal and state aid will range from $3,000,000 to $5,000,000. We have not received the resolutions from the bonding attorney, but we will send them out and soon as they are available. We expect to have them by May 28th. The total issuance for late July will be $2,220,000 plus renewal of the Bond Anticipation Notes (BANs) coming due. Of the new money, all $2,220,000 is needed for General Fund purposes. Interest rates continue to slowly rise since our last issue in February. Our interest rate in February was 1.58%. The market is currently in a somewhat volatile condition, and the economy remains uncertain at this time. We expect to borrow funds through BANs at interest rates between 1.5% and 3%. The investment rate we are able to retain is lower and is currently around .15%. We will continue to look at the possibility of going long-term with some of our debt, as long-term rates are still favorable at this time, around the 4% mark. Issuing funds now will allow us to take advantage of the lower interest rates. We will be re-rated as part of our debt issuance and there is always a possibility of a lower rating which would increase our interest rates for the future. Interest rates are fairly low for short-term borrowing with a bond rating of Aa or better. Our current bond rating is Aa2 as rated by Moody’s Investor Services. This rate is two rates below a top AAA rating. Our rate of Aa2 is still a solid investment grade rating. While the interest rate market is still favorable for borrowing, you must be able to afford it. We expect at some point these interest rates will start to increase more significantly. This increase will translate into higher debt interest rate costs for us and put even more strain on our budgets. City of Ithaca Summary of Bond Authorizations 2018 Second Issue 5/11/2018 file:bondissues 2018 New Issues: Council Authorization Project Needed Needed Date #Description Bond Resolution Amount Status Amount to issue 4/4/2018 777 Parking Equipment Acquisitions 150,000$ issue 150,000$ To acquire additional parking equipment, pay stations and/or electronic meter heads to replace or supplement City parking garages equipment/meters. Revenue increase will produce a short payback of the cost. New money and amended project. Last issued $252,000 on 2/17/17. Orrick file 43119-2-43-t ppp. Total authorization to-date $1,111,000. This authorization will increase the total authorization to $1,261,000. 4/4/2018 839 Dryden Road Parking Garage Improvements 375,000$ issue 375,000$ To fund improvements to the Dryden Road Parking Garage. Improvements will include design, staircases, structural slaps, post tesioned tendons, deck coatings, storm drains and standpipes. This will be a 3 year phased project. New money. Amended project. First issue was 2/17/17 for $51,000. Orrick file 43119-2-43-p kkk. Total autorization to-date $51,000. 6/6/2018 764 Brindley Street Bridge Replacement 1,032,000$ partial issue 1,000,000$ To amend the project for construction of the replacement of the one-lane Brindley Street Bridge. The reconstruction of the bridge TBD TBD will move and replace the current bridge with a two-lane bridge. These funds will be expended for construction activity in 2018. This is an upfront cost for the City with reimbursement up to 85% from Federal and State funding. New money and amended project. Originally authorized in 2011 and amended in 2015, 2017 and 2018. New money and amended project. This amendment will bring the total authorization to $4,462,000. Last issued $2,000,000 on 2/15/18. Orrick file 43119-2-44. 6/6/2018 777 Parking Equipment Acquisitions 485,000$ issue 485,000$ To acquire additional parking equipment, pay stations and/or electronic meter heads to replace or supplement City parking garages equipment/meters. Revenue increase will produce a short payback of the cost. New money and amended project. Last issued $252,000 on 2/17/17. Orrick file 43119-2-43-t ppp. Total authorization to-date $1,261,000. This authorization will increase the total authorization to $1,746,000. 6/6/2018 848 South Cayuga Street Bridge Deck Replacement Over Six Mile Creek 210,000$ issue 210,000$ To fund the design of the S. Cayuga St. Bridge Deck. These funds are for design. Construction on the Bridge shall follow in 2020. This is an upfront cost with Federal and State funding to reimburse the City of at least 69% of the costs. New money. Amended project. Issued $150,000 on 2/15/18. Total authorization to-date is $150,000. This amendment will bring the total authorization to $390,000. Orrick file 43119-2-44b. Totals 2,252,000$ 2,220,000$ General Fund 2,252,000$ 2,220,000$ Solid Waste -$ -$ Water -$ -$ WasteWater Treatment Facility -$ -$ Sewer -$ -$ 2,252,000$ 2,220,000$ City of Ithaca Page 1 J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 4. City Administration, Human Resources and Policy .1 Resolution Urging the New York State Legislature to Pass the Safer Consumption Services Act that Authorizes Safer Consumption Spaces as an Emergency Public Health Tool to Combat Overdose Deaths WHEREAS, the overdose epidemic has harmed the citizens of the City of Ithaca, and WHEREAS, safer consumption spaces are an evidence-based public health tool that have successfully operated in other countries for almost four decades, and WHEREAS, safer consumption spaces were one of the recommendations set forth in the Ithaca Plan, and WHEREAS, NYS Assembly Bill A8534 creates a framework for supervised consumption spaces to operate, requires evaluation of the efficacy of the services, provides legal protections for the programs and participants, and allows local jurisdictions to choose whether or not to permit a safer consumption space; now, therefore be it RESOLVED, That the City of Ithaca Common Council hereby urges the New York State Legislature to immediately pass the Safer Consumptions Services Act as introduced in the New York State Assembly that authorizes safer consumption spaces as an emergency public health tool to combat overdose deaths, and be it further RESOLVED, That the City Clerk send copies of this resolution to Assemblywoman Barbara Lifton and State Senators James L. Seward, Pamela Helming, and Thomas F. O’Mara and request their support for the passage of the legislation. ------- DRAFT sent to County ------- Resolution Urging the New York State Legislature to Pass the Safer Consumption Services Act that Authorizes Safer Consumption Spaces as an Emergency Public Health Tool to Combat Overdose Deaths WHEREAS, Tompkins County is committed to the health and safety of all residents, including reducing preventable overdose deaths, and WHEREAS, the fatal overdose rate in Tompkins County has increased by 1000% over the last ten years, and WHEREAS, safer consumption spaces are a proven, evidence-based public health tool that have successfully operated in other countries for almost four decades, and WHEREAS, safer consumption spaces are facilities where people can legally consume previously purchased illicit drugs under medical supervision from trained staff, and WHEREAS, the New York State Academy of Family Physicians, the American Medical Association, and the American Public Health Association, among other organization, have endorsed safer consumptions spaces, and WHEREAS, zero fatal overdoses have ever occurred at any safer consumption space anywhere in the world, and WHEREAS, data indicates that safer consumption spaces benefit people who use drugs by increasing referrals to abstinence-based treatment, increasing client life expectancy, reducing overdose rate in the area surrounding the facility, and reducing rates of HIV and Hepatitis C, and WHEREAS, data indicates that safer consumption spaces benefit all residents by reducing public disposal of syringes, reducing public drug use, cost savings, reducing hospital bed utilization due to decrease in injection-related infections, and reducing noise complaints, and WHEREAS, data indicates that safer consumption spaces do not increase crime, including drug selling, and do not result in new drug use, and WHEREAS, NYS Assembly Bill A8534 creates a framework for supervised consumption spaces to operate, requires evaluation of the efficacy of the services, provides legal protections for the programs and participants, and allows local jurisdictions to choose whether or not to permit a safer consumption space, and WHEREAS, Tompkins County believes that the decision of whether or not to implement a safer consumption space should be left up to individual jurisdictions, now therefore be it RESOLVED, on recommendation of the Health and Human Services Committee, That the Tompkins County Legislature urges the New York State Legislature to immediately pass the Safer Consumptions Services Act as introduced in the New York State Assembly that authorizes safer consumption spaces as an emergency public health tool to combat overdose deaths, RESOLVED, further, That the Clerk of the Legislature send copies of this resolution to Assemblywoman Barbara Lifton and State Senators James L. Seward, Pamela Helming, and Thomas F. O’Mara and request their support for the passage of the legislation. J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 4. City Administration, Human Resources and Policy .2 Establishment of a Charitable Gifts Reserve Fund Pursuant to General Municipal Law § 6-u. WHEREAS, on March 30, 2018, the New York State legislature passed the 2018-19 New York State Budget, and WHEREAS, under the Budget, the State legislature added a new section 6-u to Article 2 of the New York State General Municipal Law that enables the Common Council of the City of Ithaca to establish a reserve fund known as a charitable gifts reserve fund that may receive unrestricted charitable monetary contributions to the City of Ithaca, and WHEREAS, the Common Council finds it beneficial to establish such a charitable gifts reserve fund for the potential benefit of the City and its taxpayers; now therefore be it RESOLVED, That the Common Council hereby establishes a charitable gifts reserve fund under section 6-u of the New York State General Municipal Law, and be it further RESOLVED, That the Common Council hereby delegates to the City Controller the duty to secure and invest money deposited into the charitable gifts reserve fund in conformity with the requirements of General Municipal Law § 6-u and all other applicable provisions of the General Municipal Law, and be it further RESOLVED, That the Common Council hereby establishes the following procedure for contributions to the charitable gifts reserve fund: charitable gifts may be made into the charitable gifts reserve fund by presenting such gifts to the City Chamberlain’s Office, which Office shall provide in duplicate to the contributor a written acknowledgment of the gift, all in accord with such additional procedures as the City Controller, in consultation with the City Chamberlain, may establish, and be it further RESOLVED, That the written acknowledgment of the gift shall, per Real Property Tax Law § 980-a(3)(a), be provided, in duplicate, on a form prescribed by the New York State Commissioner of Taxation and Finance (the “Commissioner”) and shall specify the amount of the contribution, the name and address of the donor, the date the contribution was received, the authorized signature of a member of the Chamberlain’s Office, and such other information as the Commissioner shall require. J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 4. City Administration, Human Resources and Policy .3 Local Law - Authorization for a Charitable Gifts Reserve Fund Tax Credit Pursuant to Real Property Tax Law Local Law No. __-2018 A local law entitled “Authorization for a Charitable Gifts Reserve Fund Tax Credit Pursuant to Real Property Tax Law § 980-a.” WHEREAS, on March 30, 2018, the New York State legislature passed the 2018-19 New York State Budget; and WHEREAS, under the Budget, the State legislature added a new section 6-u to Article 2 of the New York State General Municipal Law that enables the Common Council of the City of Ithaca to establish a reserve fund known as a charitable gifts reserve fund that may receive unrestricted charitable monetary contributions to the City of Ithaca; and WHEREAS, under the Budget, the State legislature also added a new section 980-a to Article 9 of the New York State Real Property Tax Law that authorizes real property tax credits for contributions by real property taxpayers to a charitable gifts reserve fund; now therefore BE IT ENACTED by the Common Council of the City of Ithaca as follows: Section 1. Legislative Findings, Intent, and Purpose The Common Council makes the following findings of fact: 1. The Common Council has established a charitable gifts reserve fund under General Municipal Law § 6-u. 2. The Common Council seeks to extend a real property tax credit to real property taxpayers in the City of Ithaca for their contributions to the charitable gifts reserve fund provided for in Real Property Tax Law § 980-a. Based upon the above findings of fact, the intent and purpose of this Local Law is to authorize a tax credit pursuant to Real Property Tax Law § 980-a to real property taxpayers in the City of Ithaca for their contributions to the charitable gifts reserve fund. Section 2. Authority This Local Law is adopted pursuant to real property tax law § 980-a, which authorizes municipal corporations to adopt a real property tax credit if it has established a charitable gifts reserve fund. Section 3. The Charitable Gifts Reserve Fund Tax Credit a)Having previously established a charitable gifts reserve fund, the Common Council hereby establishes a charitable gifts reserve fund tax credit for the City of Ithaca. b) Any owner of real property located within the City who makes an unrestricted charitable monetary contribution to the City’s charitable gifts reserve fund shall be issued a written acknowledgement of such contribution and may claim a credit against their City real J:\DRedsicker\AGENDAS\City Admin Committee\2018\5-16 - Agenda.docx 5/16/18 property tax equal to ninety-five percent (95%) of the charitable gifts reserve fund donation. c) The “associated credit year” for administration of the real property tax credit authorized in this Local Law shall, per Real Property Tax Law § 980-a(2)(a), begin on February 1st of each year and end on January 31st of the following year, except that in the first instance it shall begin on such date as this local law takes effect and end on January 31, 2019. d) Upon presentation during any given associated credit year of a written acknowledgement of contribution and credit claim form in compliance with Real Property Tax Law § 980- a(3)(b) and such other procedures as may be established pursuant to this Local Law, the City Chamberlain shall, to the extent authorized by Real Property Tax Law § 980-a and this Local Law, grant the property owner a tax credit towards the tax liability arising from the next-due tax installment specified in § C-42 of the City Charter as to which the last day prescribed by law on which taxes may be paid without interest or penalty has not yet expired. e) The City Chamberlain shall administer the real property tax credit authorized in this Local Law in conformance with such procedures as specified in Real Property Tax Law § 980-a(3)(b) and (c), and such other procedures, not inconsistent therewith, established by the City Controller, in consultation with the City Chamberlain. Section 4. Severability Severability is intended throughout and within the provisions of this Local Law. If any section, subsection, sentence, clause, phrase, or portion of this Local Law is held to be invalid or unconstitutional by a court of competent jurisdiction, then that decision shall not affect the validity of the remaining portions of this Local Law. Section 5. Effective Date This Local Law take effect immediately upon the filing of the Local Law in the office of the Secretary of State. To: Common Council From: Ari Lavine, City Attorney Subject: Property Tax Credit Program for Charitable Gifts Date: May 10, 2018 As you may be aware, when passing the 2018-19 budget, the State included amendments to the General Municipal Law and the Real Property Tax Law permitting municipalities to establish mechanisms by which people can donate to their municipality, and then get a credit towards their ensuing property tax bill(s) for that donation. As you are likely aware, this state legislation was enacted in response to the December 2017 federal tax reform that limited people’s ability to take the state and local tax (SALT) deduction on their federal tax returns, but did not similarly limit their ability to take charitable deductions. It is important to note that the City is not in a position to offer any opinion as to whether charitable contributions under this new program will be deductible for federal income tax purposes, as that is something that must be determined by the Internal Revenue Service. If Council chooses to participate in this new program, two pieces of legislation—both included in this agenda—will be needed: a resolution creating a charitable gifts reserve fund, and a local law establishing property tax credits for donations made into that fund. Per State law, the maximum amount of the permitted credit is 95% of the amount donated, meaning that if someone donates $1,000 to the City, the City can only grant them a $950 credit towards their property taxes. Council also has a few options if it chooses to participate in this new program: (a) to set this percentage below 95%, (b) to cap the dollar amount of such credit to be allowed for a single property owner in any given fiscal year; and/or (c) to process these credits as reductions in the tax liability reflected on upcoming City tax bills, rather than billing the full amount and then accepting credits as payment towards the billed amount (this is an administrative distinction only). The draft legislation included in this agenda proposes neither of these optional restrictions on the allowable credit (i.e., (a) and (b)), and also does not at this time propose adjusting tax bills per (c), although—if this program proves durable—that may be an option worth further examination for potential amendment at a later date. CITY OF ITHACA 108 East Green Street Ithaca, New York 14850-5690 OFFICE OF THE CITY ATTORNEY Aaron O. Lavine, City Attorney Telephone: 607/274-6504 Robert A. Sarachan, Assistant City Attorney Fax: 607/274-6507 Krin Flaherty, Assistant City Attorney Kevin Levine, Assistant City Attorney Jody Andrew, Executive Assistant After discussions amongst the City Controller, the City Chamberlain, and the City Attorney’s Office, this draft legislation proposes that public interactions with this program (i.e., donations accepted and credits applied) occur at the at Chamberlain’s Office counter, much as with tax payments. If Council chooses to adopt this legislation at the June Council meeting, staff anticipate being able to make the program operable by the last few days of June, but likely not earlier in light of the procedural requirements—including public notice, a public hearing, and filing with the Secretary of State—necessary before a local law can take effect. Lastly, it is worth noting that accumulated donations in the charitable gifts reserve fund may be transferred to the General Fund within 60 days of the close of the fiscal year.